ACCA AAA ^INT Syllabus F. Other Assignments - Procedures and Assurance on PFI - Notes ^{4 / 4}

So they will state that ‘nothing has come to their attention’ to suggest the assumptions are not a reasonable basis for the forecast

Verifying PFI will be based around analytical procedures and assessing the validity of the assumptions

Possible procedures:

1. Assess management assumptions

2. Is it prepared on a consistent basis with historical financial statements, using appropriate accounting policies

3. Are calculations correct?

4. Is information properly prepared on the basis of the assumptions

5. Agree the cash figure to bank statement or bank reconciliation

The procedures are often restricted to enquiry and analytical review